Bosch Automotive Aftermarket to expand operations in the Middle East

In view of the increasing automotive aftermarket potential, Bosch AA also intends to expand its presence in the region by shortly opening independent Bosch Car Service Centres in various GCC countries where it has a significant presence.

"The Bosch Group is the one of the biggest supplier of automotive technology in the world. In 2002, automotive products generated sales of 23.3 billion Euro, what represents around 67% of the company's total sales of 35 billion Euro. The growing number of automobiles on the Middle East roads has brought about a corresponding increase in the demand for quality after sales service and genuine spare parts. We estimate the potential consumption of Bosch automotive parts to be worth Euro 160 million in the GCC region. These figures do not take into consideration the vast re-export market from the region," said Jacek Siwinski, General Manager, Bosch Automotive Aftermarket Middle East Office, Dubai.

The Robert Bosch Automotive Aftermarket Middle East regional office has been recently established to support Bosch partners and customers in the Middle East. Bosch AA not only provides new vehicles with individually matched components and systems, but also provides a comprehensive range of more than 150,000 Original Equipment (OE) quality spare parts such as diesel and petrol injection parts, sparkplugs, filters, starters, generators, brakes, headlights and many other automotive supplies.

"The GCC region has one of the highest ratios of automobiles equipped with latest technology in comparison to the size of its population. The market demands a high level of competence not only from dealers and agents, but also from essential elements such as service and maintenance; spares and accessories," Siwinski added.

The consumer market for automotive spare parts in the Gulf region is shared between competitively priced original products and the used spare parts market, dealing in cheaper and sometimes counterfeit low quality goods. Despite of the growing awareness of the customers on the importance of genuine parts in ensuring the safety and trouble-free running of their cars, the threat posed by counterfeit automotive aftermarket products is very high.

"The current average lifespan for a car in the GCC region is increasing. This increase significantly contributes to the market for auto spare parts. The market is very competitive, and becoming increasingly so with a growing demand for original and quality spare parts as opposed to used spare parts and counterfeit goods. The potential for automotive aftermarket sales has increased as customers are becoming aware of high quality brands which usually cost less than the Original Equipment parts but are of the same quality," said Siwinski.

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The Bosch Group is one of the world's leading suppliers of automotive equipment. The Bosch Automotive Aftermarket business division (Bosch AA) deals with the global supply of replacement parts and information for Bosch products and systems, the distribution of shop and auto accessories, and worldwide customer service. Bosch AA delivers to 132 countries through regional companies, foreign representatives, or customer service centres. Its distribution centre warehouses more than 150,000 different items: diesel and petrol injection parts, sparkplugs, filters, starters, generators, brakes, headlights, and many other automotive supplies. Bosch Automotive has been operating in the Middle East for almost 40 years. Since then, the Automotive after sales business has maintained a significant presence in Middle East markets.